'It's a No-Brainer': NYC and SF Tech Workers Move to LA for Sun, Space and Cheaper Rent During the Pandemic

Ben Bergman

Ben Bergman is the newsroom's senior finance reporter. Previously he was a senior business reporter and host at KPCC, a senior producer at Gimlet Media, a producer at NPR's Morning Edition, and produced two investigative documentaries for KCET. He has been a frequent on-air contributor to business coverage on NPR and Marketplace and has written for The New York Times and Columbia Journalism Review. Ben was a 2017-2018 Knight-Bagehot Fellow in Economic and Business Journalism at Columbia Business School. In his free time, he enjoys skiing, playing poker, and cheering on The Seattle Seahawks.

'It's a No-Brainer': NYC and SF Tech Workers Move to LA for Sun, Space and Cheaper Rent During the Pandemic

Editor's note: This is the first of a two-part series. Read the second part here: The exodus from L.A. Tech workers who traded cramped one-bedroom apartments by the ocean for 4-bedroom houses in Las Vegas.

Roger DaSilva, who grew up in New Jersey and lived in New York for two decades, long dreamed about trading the honking horns and gridlock of Manhattan for the sand and ocean breezes of Manhattan Beach.

"When I would visit L.A., it just felt like a different country with the people, the easy going nature, and the genuine friendliness of the people," said DaSilva. "It's that laid back vibe, and I love the beach and the sun."

But there was one thing stopping the move. DaSilva is an outsourced chief financial officer so he can work from anywhere, but his wife works at an advertising agency, which required her to be in the New York office full-time. Then COVID-19 hit and the DaSilva's could work from anywhere. In June, they listed their Murray Hill three-bedroom home and rented a house in Venice Beach while they searched for something more permanent.

"If it weren't for COVID, we would still be in New York," DaSilva said.


The DaSilvas are one of more than a dozen professionals interviewed by dot.LA who suddenly found themselves untethered to offices during the pandemic and decided to abandon their cramped apartments in emptied out New York and San Francisco to finally realize their dream of living by the beach. They cited a mix of personal and professional reasons for moving – a growing tech scene, relatively more affordable housing, and the ability to live a better lifestyle.

To be sure, more people are leaving Los Angeles than arriving during the pandemic, accelerating a yearslong trend of migration to cheaper cities such as Las Vegas, Phoenix and Sacramento. But for those coming from New York or San Francisco who are wealthy enough to afford million dollar-plus mortgages, L.A. still offers a relative bargain. According to Zillow, the median home value in San Francisco is $1,447,191 and the median rental price in San Francisco is $4,500 compared to $752,508 for homes in Los Angeles and $3,500 for rentals.

Nick Dowdle, growth product manager at the real estate startup ZeroDown, was shelling out $2,400 a month to rent a cramped room in a three bedroom townhouse in San Francisco's trendy Castro District until recently moving to Marina Del Rey. He is now spending $2,100 a month to rent his own one-bedroom in a luxury complex that includes a pool, hot tub and outdoor gym.

"It's a no-brainer," said Dowdle. "My productivity has gone up and I've been happier. If I have to work from home, I'd rather be somewhere warm and sunny."

Feverish demand, driven by the likes of Dowdle and DaSilva, has driven L.A. asking prices up by 17% from a year ago, twice the average increase nationwide.

"Prices are growing like never before," said Taylor Marr, lead economist at Redfin. "There is a massive price appreciation in what sellers can ask for."

Ferocious bidding wars have returned and realtors say they are getting so much interest from New Yorkers that they can hardly keep up, especially on the city's more prosperous Westside.

"It's as if as soon as COVID-19 hit everyone wanted to flee New York," said Nina Kubicek, a global luxury realtor at Coldwell Banker. "We couldn't believe how inundated we got this year with a flood of New Yorkers and East Coast clients that either want to lease or purchase here."

In typical years, Kubicek says she would receive calls from New Yorkers every few months, but now it is several a week and she is forced to turn down clients. "I have never been this busy in 16 years of doing this," she said, a far cry from the doomsday slowdown she and others in the real estate industry expected after the pandemic struck in March. "In May, I started getting slammed."

Even though New York now has a significantly lower number of COVID cases than Los Angeles, former New Yorkers say the virus had a much bigger impact on the quality of their day-to-day lives.

"It seems like the most cliché thing to say, but I feel like a more healthy person," said Ajay Mehta, a tech founder who moved from New York to Echo Park during the pandemic. "I've been running a ton outside and cooking more since I have a bigger kitchen."

"I had a tiny one-bedroom on the Lower East Side and being stuck in there would have been so depressing," continued Mehta. He lived in New York for a decade and dreaded the prospect of enduring another winter, especially during the pandemic. "I have a nice, airy apartment here. And it's much easier to be socially distant."

Los Angeles has long been criticized, especially by New Yorkers, for being too spread out and car dependent. But during COVID-19, instead of a liability, L.A.'s vastness has become an advantage while New York's density is a liability.

"With the lockdown there was so much closed in New York," said Joshua Coiro, an analytical lead at Google, who moved with his wife from Brooklyn to Santa Monica in August. "You don't have a car. You're relying on public transportation. It felt really dire."

Coiro plans to eventually return to New York, but he says he and his wife saw COVID-19 as the chance to try something new. "In this current environment it seemed like too good an opportunity to pass up," he said. "We're not even a month in but we're loving it. The people and the vibe is different from what you experience in the Northeast."

Continuing a trend from last year, L.A. was the most common destination for New Yorkers leaving the city from May to August, according to data from United Van Lines. Redfin estimates 4.6% of New Yorkers leaving the city went to L.A. during the second quarter of this year, up from 3.9% in the first quarter, according to Redfin data. That is hardly a dramatic shift, but Marr says it still means an influx of tens of thousands of residents.

"That can translate to a big impact," he said. "L.A. has consistently been the top spot for people leaving the Bay Area, battling with Seattle. What we have seen over time is a little bit of an acceleration of these trends."

Moving for Career Reasons

Aside from the weather and the beach, some who have moved during the pandemic were drawn to L.A. for more than a lifestyle upgrade – they thought L.A. with its burgeoning tech scene would be a better place for their careers. COVID-19 made the decision easier.

"It used to be taboo to move from San Francisco to Los Angeles if you were in tech," said Dowdle.

Mehta lived for two years in San Francisco and says it would not have made sense to start his consumer-focused tech company, which sells customized astrological candles there.

"San Francisco is not a very culturally in-touch city." Mehta said. "Everyone is working on a SaaS [software as a service] company. They're not working on companies that are tapping into culture."

Elizabeth Skube, head of communications at Openpath Security Inc, relocated from San Francisco to Venice last month. She says she "fully hated San Francisco" but did not consider moving to L.A. until the pandemic because she worried it would hinder her career in tech. "I never thought of L.A. in that way," said Skube. "I thought I had to be in San Francisco."

But that mindset is changing. James Beshara, former director of product at Airbnb who's now an angel investor, had been eyeing moving from San Francisco to L.A. for some time after seeing more of his founder friends go south. "COVID just accelerated a move that I had been thinking about for a few years now," he said.

Beshara predicts there will continue to be a snowball effect from more founders and investors setting up shop in L.A.

"The lifestyle choice of living in a coastal city with amazing weather and it being such a creative hub is going to lead to even more creatives wanting to live here," he said, while adding that moving to L.A. still does carry a degree of stigma in the tech community. "As soon as I announced moving here, it was like I was plugged into so many private conversations of founders wanting to move down here that have been keeping it a secret."

It's always been a short flight to San Francisco, but Beshara says now that investors have gotten used to doing so much business that does not require face-to-face meetings, he worries even less about staying in contact with his Bay Area network, which is still the tech nexus after all.

"I interact with them daily via text, email, Facetime, Zoom and Twitter just as much as I did in San Francisco," Beshara said. "But now I get to do that from a sunny location with a beach across the street."

https://twitter.com/thebenbergman
ben@dot.la
The New Face of Live Shopping: Whatnot’s $5B Journey

🔦 Spotlight

Hello Los Angeles,

This week has been a challenging one for many in our city as we continue to face the aftermath of the recent wildfires. Recovery efforts are in full swing, and as always, the strength and resilience of our community shine through.

If you or someone you know has been impacted, there are resources available to help navigate this difficult time:

  • Pacific Palisades Fire Damage Maps: View here

These tools can provide support, whether you’re looking for financial assistance, housing resources, or updates on affected areas.

While our community focuses on recovery, we’re also reminded of what makes LA unique: its unrelenting drive to build, create, and innovate. A great example this week comes from Whatnot, the live shopping platform co-founded in 2019 by Grant LaFontaine and Logan Head, which has just achieved a major milestone.

Whatnot announced it raised $265 million in Series E funding, valuing the company at an impressive $5 billion.

For those unfamiliar, Whatnot combines shopping and entertainment through live-streamed auctions. Think of it as a vibrant, interactive marketplace where sellers showcase everything from trading cards and collectibles to fashion items, all in real time. Buyers can bid during the stream, creating a sense of excitement and connection that feels more personal than traditional online shopping.

The company’s new funding—co-led by Greycroft, DST Global, and Avra Capital—will drive expansion into markets like Australia and bring improvements to seller tools, from inventory management to advanced analytics. But what stands out most is Whatnot’s focus on its people. CEO Grant LaFontaine announced plans to buy back $72 million in shares for long-term employees, a move that underscores the company’s dedication to sharing its success.

As we move forward, let’s celebrate stories like these that show how innovation thrives in LA—even amid challenges. Whether it’s supporting wildfire recovery, building the next great startup, or simply connecting with others, we each play a role in shaping the spirit of our city.


🤝 Venture Deals

LA Companies

  • Phase Four, a leader in advanced in-space propulsion systems, announced the first close of its Series C funding round, securing nearly 60% of the target raise, led by Artemis Group Capital, to ramp up production of its Valkyrie Hall Effect Thrusters to at least 250 units annually and develop cutting-edge propulsion technologies for defense and national security needs. - learn more
  • Proper, a next-generation supplement brand launched by fitness entrepreneur Amanda Kloots, secured investment from Ben Bennett's Beauty Accelerator, The Center, to redefine the supplement industry with innovative, nutrient-focused wellness solutions tailored for modern lifestyles. - learn more
LA Venture Funds
  • Sound Ventures participated in a $17M funding round for Reshop, a platform simplifying the returns process for consumers and merchants, with plans to use the funds to enhance their technology and expand their services. - learn more
  • LFX Venture Partners participated in a $30M strategic funding round for Shippeo, a Paris-based company specializing in real-time multimodal supply chain transportation visibility; the funds will support Shippeo's global expansion, particularly across North America and the Asia-Pacific region. - learn more
  • Amboy Street Ventures participated in a $15M Series A+ funding round for Granata Bio, a biotechnology company focused on developing advanced gene therapies; the proceeds will be used to accelerate the development of their pipeline and expand their research capabilities. - learn more
  • BAM Ventures participated in a $700,000 seed funding round for MX Locker, an online marketplace for buying and selling motocross gear and parts; the company plans to use the proceeds to enhance its platform and expand its user base. - learn more
  • Crosscut Ventures participated in a $7.15M seed funding round for SoloPulse, an Atlanta-based company developing advanced radar technology; the funds will be used to enhance their product development and expand market reach. - learn more
  • Starburst Ventures participated in Loft Orbital’s $170M Series C funding round, bringing the San Francisco-based satellite infrastructure provider’s total capital raised to $280 million, with the funds aimed at accelerating their "condosat" missions to simplify and expand access to space. - learn more
  • Overture VC participated in a $100M Series B funding round for Harbinger, a Southern California-based electric vehicle company specializing in medium-duty EVs; the funds will be used to accelerate the production of their electric vehicle platforms. - learn more
  • Muse Capital and Time BioVentures participated in an $18M Series A funding round for Conceivable Life Sciences, a New York-based biotech company developing the world's first AI-powered automated IVF lab; the funds will support their ongoing commercial pilot program in Mexico City and preparations for a U.S. launch targeted for early 2026. - learn more
  • B Capital Group participated in a $25M Series B funding round for Labviva, a Boston-based AI-driven procurement platform for life sciences; the funds will be used to accelerate product development, enhance marketing and customer support, and expand internationally. - learn more
  • Focalpoint Partners participated in a seed funding round for Kerna Labs, a San Francisco-based AI biotechnology company focused on advancing mRNA payload design for new therapies, with the funds supporting operational expansion and development efforts. - learn more

LA Exits

  • Intracom Systems, a pioneer in software-based communication solutions, has been acquired by IPC, a global leader in trading communications technology, to enhance IPC's SaaS communications offerings for the financial services industry. - learn more
  • Adexa, a provider of advanced supply chain planning solutions, has been acquired by Eyelit Technologies to enhance its Manufacturing Operations Management (MOM) and Manufacturing Execution Systems (MES) offerings and expand its market presence. - learn more
  • Caramel, a platform specializing in simplifying online vehicle transactions, has been acquired by eBay to enhance its offerings for secure and streamlined automotive buying and selling experiences. - learn more
  • ImaginAb, a biotechnology company specializing in antibody-based imaging and therapeutic solutions, has been acquired by Telix Pharmaceuticals to expand its next-generation therapeutic assets and biologics technology platform. - learn more
  • Sleepypod, a global leader in crash-test-certified safety harnesses and carriers for pets, has been acquired by Paw Prosper to enhance its commitment to pet well-being and expand its portfolio of innovative pet safety solutions. - learn more

Download the dot.LA App

Standing Together Through the Flames

🔦 Spotlight

To our Los Angeles family,

This week’s wildfires have brought immense pain and hardship to our beloved city. Many of our friends, neighbors, and colleagues have faced evacuations, power outages, and the devastating loss of homes and livelihoods. Our hearts go out to everyone affected by this tragedy.

At dot.LA, we want to express our deepest sympathy to those suffering in this moment. We see your resilience and stand with you during this challenging time. This community has always been defined by its strength and compassion, and now is the time to come together in support.

If You or Someone You Know Has Been Impacted, Resources Are Available:

Evacuation Shelters:

  • Calvary Community Church: 5495 Via Rocas, Westlake Village, CA 91362
  • Ritchie Valens Recreation Center: 10736 Laurel Canyon Blvd., Pacoima, CA 91331
  • Pan Pacific Recreational Center: 7600 Beverly Blvd., Los Angeles, CA 90036
  • Westwood Recreation Center: 1350 Sepulveda Blvd., Los Angeles, CA 90025
  • Pasadena Civic Auditorium: 300 East Green Street, Pasadena, CA 91101
  • Pomona Fairplex: 1101 W McKinley Ave, Pomona, CA 91768
  • Stoner Recreation Center: 1835 Stoner Ave, Los Angeles, CA 90025

Animal Shelters:

Small Animals:

  • Agoura Animal Care Center: 29525 Agoura Rd, Agoura Hills, CA 91301
  • Baldwin Park Animal Care Center: 4275 Elton St, Baldwin Park, CA 91706
  • Carson Animal Care Center: 216 W Victoria St, Gardena, CA 90248
  • Downey Animal Care Center: 11258 Garfield Ave, Downey, CA 90242
  • Lancaster Animal Care Center: 5210 W Ave I, Lancaster, CA 93536
  • Palmdale Animal Care Center: 38550 Sierra Hwy, Palmdale, CA 93550

Large Animals:

  • Pomona Fairplex: 1101 W McKinley Ave, Pomona
  • Industry Hills Expo: 16200 Temple Ave, City of Industry, CA 91744
  • Antelope Valley Fair: 2551 W Avenue H, Lancaster, CA 93536
  • Los Angeles Equestrian Center: 480 W Riverside Dr, Burbank, CA 91506
  • Pierce College Equestrian Center: 7100 El Rancho Dr, Woodland Hills, CA 91371

Disaster Relief Information:

  • LA County Assessor: Information for property owners and FAQs about disaster relief.

Mental Health Support:

  • Los Angeles County Department of Mental Health: Crisis counseling and support for those affected. Access services through their website or call their hotline at (800) 854-7771.

Temporary Housing Support:

  • Airbnb: In partnership with 211 LA, offering free temporary housing for displaced residents. Spaces are limited; complete the form to be notified of availability.

Transportation Support:

  • Uber: Use promo code WILDFIRE25 for 2 free rides up to $40 each to/from active shelters.
  • Lyft: Code CAFIRERELIEF25 offers 2 rides up to $25 each for up to 500 riders, valid until 1/15.
  • Metro: Fare collection is suspended systemwide.

Staying Informed:

  • Watch Duty App: Provides real-time wildfire tracking, evacuation warnings, and updates.
  • Los Angeles Fire Department Alerts: Visit their website for the latest information on fire status and safety guidelines.

Safety Precautions:

  • Ready, Set, Go!: Personal Wildfire Action Plan by the Los Angeles County Fire Department.

To those in our community who are volunteering, donating, or offering aid in any form—thank you. Your efforts embody the spirit of LA: strong, compassionate, and unstoppable.

At dot.LA, we’re committed to amplifying stories of resilience and support. If you’ve seen inspiring acts of kindness or have resources to share, please let us know. Together, we can shine a light on the incredible ways this community is stepping up during these trying times.

In the days ahead, let’s hold tight to the bonds that unite us and remember that we are stronger together. The fires may scar the land, but they cannot dim the collective spirit of Los Angeles.

We’re here for you, and we’re with you.

    Download the dot.LA App

    A Strong Finish to 2024 for LA Tech: Crosscut Ventures Leads the Way

    🔦 Spotlight

    Happy Friday LA!

    As we close the book on 2024, Los Angeles has had a remarkable year in tech and venture capital. From groundbreaking funding rounds to industry-defining innovations, the city’s tech ecosystem has showcased its ability to adapt and thrive. Among the year’s final highlights was the announcement that Crosscut Ventures, one of LA’s premier early-stage venture capital firms, has added Jon Ylvisaker as its newest Partner.

    Crosscut Ventures’ Bold New Direction

    Announced in late December, Jon Ylvisaker’s appointment reflects Crosscut Ventures’ commitment to advancing its focus on the energy transition. Ylvisaker brings decades of experience in driving investments in energy technologies and digital infrastructure. As the founding partner and managing director of Yield Capital Partners, he led investments in startups and established companies shaping the future of sustainability. At Wolfacre Global Management, a Tiger Management hedge fund, he further honed his expertise in supporting impactful climate-focused solutions.

    Brian Garrett, Managing Director and Co-Founder of Crosscut Ventures, said, “Jon's extensive experience in climate and digital infrastructure investments, coupled with his impressive track record of bringing groundbreaking technologies to market, makes him the ideal partner to help lead our focus.”

    Since its founding in 2008, Crosscut has played a key role in shaping LA’s tech landscape. Ylvisaker’s addition reinforces the firm’s commitment to addressing global challenges like energy transition and sustainability, further solidifying its leadership in venture capital innovation.

    What’s Next for LA Tech in 2025

    The momentum from 2024 has set the stage for an even bigger year ahead. Entrepreneurs, investors, and innovators in LA are poised to take on new challenges and create meaningful change across industries.

    As we step into 2025, we want to thank everyone who helped make 2024 such a standout year. Here’s to another year of progress, innovation, and success. From all of us at dot.LA, Happy New Year!

    🤝 Venture Deals

    LA Companies

    • First Resonance, a company specializing in digital manufacturing software through its ION Factory OS, has raised a $20M funding round led by Third Prime with participation from Blue Bear Capital and others. This brings its total funding to $36M and will be used to accelerate product development, grow its customer base, and enhance support for advanced manufacturing sectors like aerospace, robotics, and clean energy. - learn more
    LA Venture Funds
    • Finality Capital Partners led a $17M Seed funding round for ChainOpera AI, a California-based company developing blockchain networks for AI-powered agents and applications, to accelerate product development, expand its team and enhance its blockchain and AI integration capabilities. - learn more

    LA Exits

    • Thirteen Lune, an inclusive beauty e-commerce platform, has been acquired by SNR Capital, marking a significant milestone in the platform's mission to amplify underrepresented beauty brands while fueling its next stage of growth. - learn more
    • Ergobaby, a leading brand in juvenile products known for its high-quality baby carriers, has been acquired by Highlander Partners. The acquisition aims to bolster Ergobaby’s growth, expand its product offerings, and strengthen its position in the parenting solutions market. - learn more

    Download the dot.LA App

    RELATEDEDITOR'S PICKS
    Trending